The bill establishes the New Mexico Property Insurance Program Association Board to oversee the FAIR Plan Act, which aims to provide property and commercial property insurance to individuals unable to secure coverage in the regular market. The board will consist of nine members with diverse expertise, including actuarial science, climate science, and consumer advocacy. New definitions are introduced, and the board is tasked with creating a FAIR plan that ensures premium rates are fair and actuarially sound. The bill also outlines the board's responsibilities, including establishing a plan of operation, setting coverage limits, and ensuring compliance with the FAIR Plan Act.

Additionally, the bill amends existing provisions related to the FAIR Plan Act, including the authority of the board to amend the plan and articles of association, and introduces new requirements for member insurers, such as the need to provide evidence of prior declinations of coverage when applying for a FAIR plan policy. The board is authorized to collect fees from member insurers to maintain the program's solvency, and it must submit annual reports to the superintendent regarding the financial condition of the FAIR plan. An appropriation of $50 million is allocated for the administration of the FAIR Plan Act and fire mitigation programs, with an emergency clause for immediate effect.

Statutes affected:
introduced version: 59A-29-2, 59A-29-4, 59A-29-5, 59A-29-9